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Red Hat Linux 7 Available for Compaq Alpha

Red Hat and Compaq to Deliver Latest Version of Leading Open Source Operating System for the Alpha Platform

RALEIGH, N.C

Red Hat, Inc., the leader in developing, deploying and managing open source solutions for Internet infrastructure, announced today the availability of Red Hat Alpha Deluxe for Compaq Computer Corporation's Alpha products, which include Compaq's AlphaServer DS and ES series and all Compaq AlphaStations. In addition, Red Hat Linux 7 is bundled and pre-loaded on selected Compaq ProLiant Servers and selected Compaq Deskpro models. This expanded relationship continues the growing momentum and widespread industry adoption of Red Hat Linux.

"Compaq's expanding commitment to Red Hat Linux illustrates the growing momentum for open source and Internet solutions," said Bob Cymbalski, VP Product Management, Red Hat, Inc. "The combination of Compaq's AlphaServer and AlphaStation solutions and Red Hat Linux delivers Internet and enterprise computing to our customers."

"Compaq gives customers the broadest range of robust, industry leading offerings to implement their Linux solutions," said Don Harbert, Vice President and General Manager of the High Performance Server Business Unit at Compaq Computer Corporation. "Red Hat's new Red Hat Linux 7 with features like enhanced security and ease-of-use offer Compaq Alpha users new levels of performance and reliability to meet the computing needs of customers worldwide."

Red Hat Alpha Deluxe is part of Red Hat's complete family of open source solutions for today's Internet economy--including e-commerce servers with Stronghold Apache and the growing number of embedded, Internet-enabled devices. Red Hat Linux 7 provides enhanced security, new ease-of-use features and optimized software for new AlphaServers, along with dozens of new enterprise-ready applications, extending its lead as the most powerful and widely used open source server environment in the world. Through the new Red Hat Network -- available now to all Red Hat Linux 7 users on a free trial basis (see related press release, September 25 http://www.redhat.com/about/2000/) -- Red Hat is pioneering a new way to deliver open source products, service, support and information on-line in real-time.

Red Hat Linux 7 Open Source Operating System for Compaq Alpha

Red Hat Linux 7 is the latest major edition of the award-winning open source operating system. It provides the open source flexibility, scalability and manageability necessary to bring the most ambitious Linux initiative under the control of an integrated Internet computing platform. Important new capabilities provided by Red Hat Linux 7 include:

For Enterprise IT Departments - integrated security with OpenSSL for secure communication via the web; MySQL database; and pre-set for the arrival of the 2.4 kernel.

For Workstation users - more customizable desktop environment; more software to choose from including digital photography viewing and diagram drawing programs; increased security for default installations to protect users who use cable modems or ADSL to reach the Internet.

For Developers - enhanced internationalization sub-system, more complete C++ support with new compiler; updated development suite; and a preview of many new development tools such as the new GNU compiler for the Java programming language.

Red Hat Alpha Deluxe includes:

Development Tools:

Compaq FORTRAN Compiler for Linux Alpha, Compaq C for Linux Alpha, Compaq C++ for Linux Alpha, Compaq Portable Math Library (CPML), Compaq Extended Math Library (CXML), and more.

JumpStart!: A utility to automatically partition hard drives, set up environment variables and prepare for installation.

90 days web support, 90-day free Red Hat Network trial, 30 days phone support.

Red Hat's comprehensive services and support organization round out an enterprise solution that delivers the tools and performance necessary to translate the promise of open source into high-value, scalable Internet infrastructure implementations.

Red Hat Alpha Deluxe (in USD) and Availability

Red Hat Alpha Deluxe is priced at $79.95 and is available from redhat.com and through select retail outlets worldwide.

Red Hat Network is available to all users Red Hat Linux 7, including Red Hat Alpha Deluxe. For more information, see www.redhat.com/network.

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About Red Hat, Inc.

Red Hat, the world's leading open source and Linux provider, is headquartered in Raleigh, NC with satellite offices spanning the globe. Red Hat is leading Linux and open source solutions into the mainstream by making high quality, low cost technology accessible. Red Hat provides operating system software along with middleware, applications and management solutions. Red Hat also offers support, training and consulting services to its customers worldwide and through top-tier partnerships. Red Hat's open source strategy offers customers a long term plan for building infrastructures that are based on and leverage open source technologies with focus on security and ease of management. Learn more: http://www.redhat.com

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Forward-Looking Statements

Forward-looking statements in this press release are made pursuant to the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934. Investors are cautioned that statements in this press release that are not strictly historical statements, including, without limitation, management's plans and objectives for future operations, and management's assessment of market factors, constitute forward-looking statements which involve risks and uncertainties. These risks and uncertainties include, without limitation, reliance upon strategic relationships, management of growth, the possibility of undetected software errors, the risks of economic downturns generally, and in Red Hat's industry specifically, the risks associated with competition and competitive pricing pressures, the viability of the Internet, and other risks detailed in Red Hat's filings with the Securities and Exchange Commission, copies of which may be accessed through the SEC's Web site at http://www.sec.gov.

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About Red Hat

Red Hat is the world’s leading provider of open source software solutions, using a community-powered approach to reliable and high-performing cloud, Linux, middleware, storage and virtualization technologies. Red Hat also offers award-winning support, training, and consulting services. As the connective hub in a global network of enterprises, partners, and open source communities, Red Hat helps create relevant, innovative technologies that liberate resources for growth and prepare customers for the future of IT. Learn more at http://www.redhat.com.

Forward-looking statements

Certain statements contained in this press release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements provide current expectations of future events based on certain assumptions and include any statement that does not directly relate to any historical or current fact. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: risks related to delays or reductions in information technology spending; the effects of industry consolidation; the ability of the Company to compete effectively; the integration of acquisitions and the ability to market successfully acquired technologies and products; uncertainty and adverse results in litigation and related settlements; the inability to adequately protect Company intellectual property and the potential for infringement or breach of license claims of or relating to third party intellectual property; the ability to deliver and stimulate demand for new products and technological innovations on a timely basis; risks related to data and information security vulnerabilities; ineffective management of, and control over, the Company’s growth and international operations; fluctuations in exchange rates; and changes in and a dependence on key personnel, as well as other factors contained in our most recent Quarterly Report on Form 10-Q (copies of which may be accessed through the Securities and Exchange Commission’s website at http://www.sec.gov), including those found therein under the captions "Risk Factors" and "Management’s Discussion and Analysis of Financial Condition and Results of Operations". In addition to these factors, actual future performance, outcomes, and results may differ materially because of more general factors including (without limitation) general industry and market conditions and growth rates, economic and political conditions, governmental and public policy changes and the impact of natural disasters such as earthquakes and floods. The forward-looking statements included in this press release represent the Company’s views as of the date of this press release and these views could change. However, while the Company may elect to update these forward-looking statements at some point in the future, the Company specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing the Company’s views as of any date subsequent to the date of this press release.